Advance payments are for pre-financing and are offset by the subsequent partial invoice. The system does not calculate retention amounts and additional costs. Advance payments only affect payment. They do not affect revenues.
The type of partial invoice determines whether you can post an advance payment:
· If you post partial invoices as invoices, you can enter an advance payment
· If you post partial invoices as down payment requests, you cannot enter an advance payment
You post advance payments in full to a WBS element.
· You are maintaining a down payment chain on the screen Debit-Side or Credit-Side Down Payment Chain.
· The down payment chain is not blocked for posting and has Released status.
· You have not yet created a transaction within the down payment chain because you can only choose this transaction category once and only at the beginning of a down payment chain.
· You can only enter an advance payment if the down payment chain is assigned a chain type for which partial invoices are posted as invoices.
1. Select Posting on the Debit-Side Down Payment Chain or Credit-Side Down Payment Chain screen.
A dialog box appears. In the upper half there are input fields. In the lower half of the dialog box, you can see the bank details of the customer or vendor. This enables you, for example, to make a comparison with the incoming invoice.
2. Enter the following data:
a. Enter a transaction name.
b. Select the transaction category Advance Payment and select Continue.
You return to the Debit-Side Down Payment Chain or Credit-Side Down Payment Chain screen. In the work area, the Posting tab page appears and you can enter further data.
3. Enter the required data.
4. Check the account assignment data and change it if necessary.You must assign the Amount Paid in Advance in full to a WBS element.
5. Save your input.
· The system posts the advance payment as a down payment request in Financial Accounting (FI)
· Down payment requests are posted as noted items with:
¡ Special G/L indicator F
¡ Target special G/L indicator A
· The noted item is also linked to the dunning process (important for debit-side cases).